Property Type Office
Financing Type Bridge
Date May 2, 2023
Life Company Loan Funds Value Add Acquisition of Suburban Office Building Located in Black Canyon Commerce Park; Life Company Lenders Active in Bridge Space with Qualifying Sponsors
Phoenix, Ariz. – Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured a $4.95 million life company loan for the value-add acquisition of a 56,000-square-foot suburban office space on approximately four acres. The two-story building offers 278 park spaces and is located at 2225 W. Peoria Ave. in Phoenix within the Black Canyon Commerce Park, a 16-acre master planned business complex. Vacant space at the property is formatted for medical office as well as general professional uses.
Gantry’s Tim Storey, Principal, with the firm’s Phoenix production office secured the loan on behalf of the borrower, an experienced private real estate investor. The fixed rate, short term bridge loan was provided by one of Gantry’s correspondent life company lenders.
According to Gantry’s Tim Storey, “As banks have pulled back from new commercial real estate lending, our life company lenders have become more active as a stable source of commercial mortgage financing. This includes the bridge lending space, and even for office assets on a select basis. In this instance, a highly experienced sponsor saw an opportunity to acquire a well-appointed office building with some vacancy in place positioned to serve a range of tenant needs including medical office uses. With a clear plan of action and conservative underwriting, we were able to secure a fixed rate loan in line with the sponsor’s vision. While Q1 2023 saw a limited number of asset trades, this transaction is indicative of a return to new transactions as rates have continued to come in and stabilize. We expect to see that pace increase as we move into 2023.”